Monday, February 15, 1999

Germany took over the presidency of the EU on 1 January 1999. It has set as its priorities: job creation; internal consolidation and further development of the Union; and strengthening the development of the EU'' profile in relations with other countries. The European Council will take place in Cologne on 3-4 June. The website for the German presidency is at http://www.eu-presidency.de

The Transport Commissioner announced that the Commission is working on recommendations to enable the EU to take decisions on this early in 1999. Within a few years many transport systems will rely on GNSS. The Commission is consulting with the industry, transport users and others in order to define a possible EU role in GNSS.

The Commission has set out proposals "to save Europe's railways from extinction". Included are proposals to liberalise the freight market. The White Paper proposes to speed up modification of the existing legislation (Directive 91/440/EC) so as to extend the rights to railway infrastructure for freight and for international passenger services. Existing legislation will be modified to require the separation of infrastructure management and transport operations into distinct business units, with separate management and balance sheets. Further study will be made of the principles for infrastructure charging and capacity allocation prior to making fresh proposals. They have also recommended the establishment of a European Railway Authority. (NB European Commission White Paper 'A Strategy for Revitalising the Community's Railways - COM (96) 421 final)

Tourism and Employment: The High Level Group on Tourism and Employment have stated that the tourism sector is expected to grow faster than the economy as a whole, increasing turnover by 2.5-4% per annum and creating 2.2-3m jobs in the EU by 2010.http://europa.eu.int/en/comm/dg23/whatsnew.htm.

Significant progress has been made and, on completion, the programme is expected to increase EU GDP by 0.5bn ecu by 2030 and create 600 000 jobs. The Vienna European Council emphasised the importance of protecting funding for this despite the need for cuts in public expenditure.

The Commission referred eight Member States to the European Court of Justice for having concluded "open skies" agreements with the USA. The states are Austria, Belgium, Denmark, Finland, Germany, Luxembourg, Sweden and the UK. The Commission argues that these agreements distort competition and disadvantage EU airlines. The Commission itself had been negotiating an agreement with the USA but this was halted by the Council of Ministers.

The Commission announced proposals to extend the provisions of the Directive to more EU workers in the road, rail, sea, air and inland waterways transport industries. The Directive provides protection against adverse health and safety effects of long hours, inadequate rests and disruptive working patterns. (IP/98/1004).

Banks have indicated that no charges will be levied for converting accounts and payments into euros. The Commission intends to keep the situation under review and have invited persons who have been charged to notify them. The euro operates in Austria, Belgium, Finland, France, Germany, Ireland, Italy, Luxembourg, Netherlands, Portugal and Spain. The ecu has been replaced by the euro at a rate of 1:1. The new currency can be used by way of cheques, credit cards, bank transfer etc. but the new euro notes and coins will not come into use until 1 January 2002. The fixed conversion rates for participant currencies can be found at http//europa.eu.int/eurobirth/index_en.html

n 13 January 1999, the UK Foreign Secretary, Robin Cook, visited Camp Zeist in the Netherlands which is to be used for the trial of the two Libyans accused of the Lockerbie bombing. The former US airbase currently used by the Dutch, will technically become part of Scotland for the purposes of the trial, which will be held according to Scots Criminal Law. Negotiations are continuing with the Libyan authorities who have expressed reservations about the men serving their prison sentences, if convicted, in a Scottish jail. One of the concerns is that they might be subject to UK and US intelligence' interrogations whilst in the prison. However, Mr Cook said that standards in Scottish prisons were as good as any in the world and Libyan and international bodies would be able to monitor the men's conditions. As soon as the men arrive in the Netherlands, the sanctions against Libya would be lifted. On 13 January, JANA, the Libyan news agency reported a "major headway" in the negotiations.